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Showing posts from October, 2020

Weekly Economic Wrap: Oct 30, 2020

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This is a summary of economic reports released during the week ending Oct 30, 2020. These are summarized from the Econoday  web site and other various reports, such as Ned Davis Research.  The stock market overall was down. The DJIA began the week at 28,185 and closed at 26,502 on Friday. This is a daily chart of the SP500. Click to enlarge.   New Home Sales (Oct 26) Actual number: 969,000 (annual basis) New home sales have been soaring, easily beating Econoday's consensus the last five reports. After August's 1.011 million annual rate, Econoday's consensus for September is 1.016 million. New home sales measure the number of newly constructed homes with a committed sale during the month. The level of new home sales indicates housing market trends and, in turn, economic momentum and consumer purchases of furniture and appliances. Durable Goods Orders (Oct 27) Consensus: .4% increase. Actual: 1.9% increase Recovery in durable goods orders is expected to hold steady in Septemb

What are good reasons not to buy a home?

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Right now, people are feeling like there is a lot of pressure to buy a home. After all, mortgage rates have been insanely low. So, for many who have been saving up to buy their first home, now feels like a good time. But, while the nationwide real estate market is booming, you probably aren’t looking for an average home just anywhere. And local markets can see vastly different stories playing out that you don’t hear about when you’re taking a look at the real estate market as a whole. So, how can you look at specific data that applies to your specific situation and still make an informed decision? While there are benefits to buying, let's look at some top reasons not to buy a house. First, the original article where this material came from stated that you shouldn't buy if you're nearing retirement. I couldn't disagree more. If the other criteria, such as income, debt, etc., are in line, buying can be a good choice, as it tends to lock in your housing costs. This has be

Biden told 32 lies in 96 minutes

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The biggest lie of all -- if there is such a thing -- was on oil and gas, when he stated that he has never wanted to ban fracking or move the U.S. from oil and gas.  Biden let his mask slip and declared war on oil and gas at the end of Thursday’s debate. This was perhaps part of the most damaging portion of the night for Biden. During the discussion of climate change and renewable energy Biden made the declaration he wants to transition away from the oil industry. But his accusation towards the president is bogus. Billions of dollars are paid out annually to renewable energy concerns, including solar and wind power. Lost in the discussion, as Joe Biden claimed explosive job growth would be realized in his green power program, is how dozens of renewable energy companies all failed during his 8 years in the White House, with the aid of huge government subsidies. And when he challenged Trump to show it on tape, Trump did just that. Here's the tape:  Here's a sample of other lies

Got $1.7 Million? Here's What You Get in Texas and California

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 We all know that home prices are ridiculous in California. After decades of restrictive housing regulations, demand outpaced supply, driving up prices.  Here's what $1.7 million will buy you in San Francisco. (2,173 square feet) 1812 Webster Street, San Francisco Here's what $1.7 million will buy you near Austin, TX (6,495 square feet) 412 Indigo Lane, Georgetown

Living in an upside down world

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It seems things have gotten a bit upside down. I have been confused about the hostility of family and friends. I look at people I have known all my life... so hate filled that they agree with opinions they would never express as their own. You can't justify this insanity. We have become a nation that has lost it's collective mind!  Somehow it's un-American for the census to count how many Americans are in America.  Russians influencing our elections are bad, but illegals voting in our elections are good.  It was cool for Joe Biden to 'blackmail' the president of Ukraine, but it's an impeachable offense if Donald Trump inquires about it.  People who never owned slaves should pay slavery reparations to people who have never been slaves. People who have never been to college should pay the debts of college students who took huge loans for their degrees.  Immigrants with tuberculosis and polio are welcome, but you'd better be able to prove your dog is vaccinated

ESG Investments Do Not Protect You in Market Downturns

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ESG = environmental, social and governance priorities.  From the National Legal and Policy Center:  "...that ESG factors did not inoculate investors against the stock market downturn that was attributed to the COVID crash of the global economy, nor did sustainability priorities aid in the subsequent limited recovery. And now it turns out that one of BlackRock’s non-profiting investment priorities ballyhooed by Fink – climate change – is not all he cracks it up to be." My take: Stocks tend to follow the broader market, without many exceptions.  Read the full story here. Larry Fink’s Appeasement of Climate Activists is Failing